ITB Berlin News #3

I REGION I ASIA I
ASIA
Asia - a tourism
powerhouse in 2019
UNWTO data show very strong performance
with South and Southeast Asia topping the list
With the coronavirus and ensuing economic
difficulties muddying the waters when it comes to any
projections, it is more useful to look at overall trends
to date, which can to some extent be extrapolated
for post-crisis planning.
In 2019, Chinese outbound
travel continued to fuel growth in
many destinations in the region
and outside, though Chinese
spending on travel abroad was
4% lower in real terms in the
first half of 2019 according to
available data.
South Asia (+8%) achieved,
together with South-East Asia,
the fastest growth among Asian
subregions though slower
than the 2018’s remarkable
performance (+19%). Maldives
recorded double-digit growth
capitalising on the increase in
visitors from the Chinese and
European markets. Nepal and
Bhutan continued to show strong
results with Chinese and Indian
visitors up. India, the subregion’s
largest destination, showed
comparatively more modest
levels in arrivals but strong
growth in receipts.
South-East Asia (+8%)
recorded robust growth in 2019,
with many destinations achieving
double-digit rates. Myanmar led
growth benefitting from a surge
in Chinese visitors thanks to visa
facilitation and enhanced air
connectivity. Cambodia, Laos,
Philippines, Timor-Leste and
Vietnam enjoyed solid results.
Among the larger destinations,
Malaysia continued to rebound
with an increase in numbersfrom
short- and medium-haul markets.
Thailand, the subregion’s largest
destination, showed slower
growth after several years of
solid performance partly due a
strong currency.
North-East Asia saw a 2%
increase in 2019, weighed down
by the decline in arrivals in
Hong Kong (China). The Special
Administrative Region of Hong
Kong suffered a sharp drop in
arrivals from mainland China
amid protests taking place during
the second half of the year. The
Republic of Korea led results
in North-East Asia, thanks to
increased visitors from China and
South-East Asian markets.
Japan’s inbound tourism grew
at a comparatively more moderate
pace through November following
several years of strong growth.
The destination welcomed more
visitors from top source markets
China, Hong Kong (China) and
Taiwan (province of China), but
suffered a sharp decline from the
Republic of Korea.
Arrivals in China, the regions’
largest destination, were up 7%
in the first half of 2019, though
receipts declined 12% in real
terms in the first half of 2019
PHOCUSWRIGHT:
APAC ONLINE
BOOKINGS STILL
ON THE RISE
According to Phocuswright’s Asia Pacific
Online Travel Overview 2019, the fact that
APAC’s hotel sector is quite fragmented,
this is a key driver for online agencies.
The report, written and researched by
Maggie Rauch and Deepak Jain, states
that tourism infrastructure improvements,
more advanced telecommunications and
digital payments access are all fuelling
travel booking growth, and the online share
of travel revenue is advancing quickly.
According to the report, the rapid offline
to online migration of hotel bookings in
China and Japan, coupled with mid-40%
online hotel penetration in those markets
underscores the remaining potential of the
segment. These two markets combined
will account for 74% of APAC online hotel
gross bookings. Accordingly, deceleration
in those markets will slow the overall
segment's growth through 2022
ITB BERLIN NEWS • THURSDAY 19 TH MARCH 2020 • 29